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Blue Shield of California Statement Regarding DMHC Settlement

2008-07-17 16:49:00

    SAN FRANCISCO, July 17 /EMWNews/ -- The following is a

statement by Tom Epstein, Vice President, Public Affairs, Blue Shield of


    We are pleased to reach agreement with the Department of Managed Health

Care on the resolution of all issues related to rescission. We will offer

new coverage and reimbursement of medical expenses to every eligible member

who has been rescinded since 2004.

    We recognize that rescission of a health coverage agreement is a

serious matter that has significant consequences for the people involved.

We have treated these issues with the utmost care and have rescinded about

one-tenth of one percent of our individual health plan contracts since

2004. As a not-for-profit health plan committed to access to coverage for

every Californian, we have always tried to do the right thing.

    While today's action will be helpful to several hundred individuals, it

does little to solve the massive problems facing our healthcare system. It

treats a symptom, but is well short of a cure. The cost of medical care is

rising far too fast, nearly 7 million Californians are uninsured, and the

quality of care is uneven.

    Six years ago, Blue Shield proposed a health reform plan that would

guarantee coverage to every Californian regardless of pre-existing

conditions, eliminating the practice of rescission entirely. We have

advocated tirelessly for this plan ever since and are deeply disappointed

that comprehensive reform has not been achieved. We will continue our

efforts to bring fundamental change to a system that is not ensuring every

Californian has access to quality health care.

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Jordan Taylor

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